Notes to the Financial Statements 31 December 2021 217 Integrated Annual Report 2021 Governance Audited Financial Statements Other Information 34. Significant events (Cont’d.) (b) Outbreak of Coronavirus (“Covid-19”) In March 2020, the World Health Organisation officially announced the outbreak of COVID-19 as a global pandemic. To counter the spread of COVID-19, the Malaysian government implemented the Movement Control Order on 18th March 2020, which was then extended a few times or switched to either the Conditional Movement Control Order, the Recovery Movement Control Order or the Enhanced Movement Control Order (“EMCO”) based on the country’s pandemic situation from time to time. During these periods, the Group has continued its operations with approval by the Malaysian Government as the Group is in the essential industry to ensure the continuous provision of telecommunication services especially during the EMCO period in 2021. The directors have assessed the overall impact of this situation towards the Group’s and the Company’s operations, financial performance and cash flows and concluded there is no material adverse effect on the Group’s and the Company’s financial statements for the financial year ended 31 December 2021. Nevertheless, the directors will closely monitor the current developments of COVID-19 pandemic and at the present the facilities and site works activities of the Group and of the Company are in normal and stable operation. 35. Subsequent event Letter of offer for spectrum assignment in the 2600MHz spectrum band On 11 February 2022, the Group has accepted an offer from the MCMC on granting the Group for the issuance of 2600MHz spectrum assignment (“SA”) at 2x10MHz band for a period of 5 years effective from 1 July 2022, at the price component payment of RM11,760,000 being made in one lump sum before 14 February 2022 and annual fixed fee payment of RM20,759,510 payable before 15 December throughout the assignment period. Pursuant to the acceptance of the SA, the Group had made an upfront payment for the price component of the SA to MCMC amounting to RM11,760,000. The upfront price component paid has been recognised as a prepayment and will subsequently be reclassified to right of use assets and depreciated upon SA becoming effective on 1 July 2022 in accordance with MFRS 16: Leases. 36. Authorisation of financial statements for issue The financial statements for the financial year ended 31 December 2021 were authorised for issue in accordance with a resolution of the directors on 11 March 2022.
RkJQdWJsaXNoZXIy ODU0MjU5